The CBI chief has warned the UK's policymakers against adopting US-style accounting regulations in the wake of the credit crises.

Speaking at a business leaders' dinner at Cambridge's Queens' College, Richard Lambert admitted that the business lobby group underestimated the scale of the credit crunch. However he added that snap regulation must be avoided. He said the situation called for a calm look at regulation in the financial markets, the Telegraph reported.

'The political temptation to clean up the City must be tempered by the experience of Sarbanes-Oxley and the knowledge that recovering markets need help, not handicap,' Lambert said.

The strict rules which were introduced after the collapse of Enron and WorldCom were considered too burdensome and resulted in several companies delisting from the US.

Further reading:

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